5K+ Minimum over list for new vehicles.
Thread Starter
Lexus Fanatic
Joined: Oct 2003
Posts: 94,208
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From: Virginia/D.C. suburbs
However, you owned an LS460 for years....I essentially test-drove one for about 30 minutes. So, at least to an extent, I will defer to your opinion on that.
That being said, at that price point back in mid 2000s, one had to be virtue signaling pretty hard to pick the LS600 over a TT V12 Mercedes.
Lexus Fanatic
Joined: Nov 2011
Posts: 35,276
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From: ON/NY
‘The LS600h also had an entirely different gas engine as well.
Racer
Joined: Feb 2021
Posts: 1,529
Likes: 573
From: PA
I'm at my Buick/Chevy/GMC dealership as I write this....getting the free complementary (first) oil-change/tire rotation done (GM gives you the first one free) and the jack-recall.......they have to order the new jack, which is not available yet, and by GM's policy, they take the old one out of the trunk, which they claim is unsafe to use.
But, as I looked around the place (I had not been there for a couple of months), it was obvious that inventory was way down...perhaps the lowest I had ever seen there. Yes, what you have been reading about (shortages/high-prices) is real. Even vehicles in stock that were formerly not in very high demand were marked up, on a second price-sticker, a minimum of 5K over list......."Adjusted Market Value". Some are marked up even more. And they are indeed selling them like that....it is clearly a Seller's Market. My salesman there (whom I have bought three Buicks from) said they (might) make an exception for me if I come up with my neighbor (who is on our Condo-Board)...she has an eight-year-old Outback that is getting unreliable (had major problems with CVT and wheel-bearings on recent long trips) and she wants to replace it if a suitable new vehicle can be found for her in this tight market. She likes the Encore GX I have, but I told her I'm not sure how long the turbo-three engine will hold up on it.....that's clearly the vehicle's potential weak point, though mine is still basically brand-new, with only a few thousand miles on it, and I am not likely to wear it out with my type of driving.
Anyhow, folks, believe it. I know I'm talking about only one dealership in this thread, but, based also on what I've seen while browsing on-line at other dealerships, it clearly does seem to be a classic Seller's market. There is little or no reason to believe that most of the other local dealers are much if any different....particularly in this traditionally big-money/high-income/high-vehicle-sales area around D.C. I'm advising people, right now, to hold onto their present vehicles, if possible, and wait until we have a better market. The dealership says that they think, based on what they hear from GM, and supply of computer chips, that it will take about another year or so for the market to become stable again. I'll take that with a grain of salt......could be earlier, or later.
But, as I looked around the place (I had not been there for a couple of months), it was obvious that inventory was way down...perhaps the lowest I had ever seen there. Yes, what you have been reading about (shortages/high-prices) is real. Even vehicles in stock that were formerly not in very high demand were marked up, on a second price-sticker, a minimum of 5K over list......."Adjusted Market Value". Some are marked up even more. And they are indeed selling them like that....it is clearly a Seller's Market. My salesman there (whom I have bought three Buicks from) said they (might) make an exception for me if I come up with my neighbor (who is on our Condo-Board)...she has an eight-year-old Outback that is getting unreliable (had major problems with CVT and wheel-bearings on recent long trips) and she wants to replace it if a suitable new vehicle can be found for her in this tight market. She likes the Encore GX I have, but I told her I'm not sure how long the turbo-three engine will hold up on it.....that's clearly the vehicle's potential weak point, though mine is still basically brand-new, with only a few thousand miles on it, and I am not likely to wear it out with my type of driving.
Anyhow, folks, believe it. I know I'm talking about only one dealership in this thread, but, based also on what I've seen while browsing on-line at other dealerships, it clearly does seem to be a classic Seller's market. There is little or no reason to believe that most of the other local dealers are much if any different....particularly in this traditionally big-money/high-income/high-vehicle-sales area around D.C. I'm advising people, right now, to hold onto their present vehicles, if possible, and wait until we have a better market. The dealership says that they think, based on what they hear from GM, and supply of computer chips, that it will take about another year or so for the market to become stable again. I'll take that with a grain of salt......could be earlier, or later.
Last thing in the world GM dealers is to lose good will. They have plenty challenges as it is.
Instructor
Joined: Mar 2018
Posts: 768
Likes: 383
From: CA
Here in the Sacramento area the car lots are empty. Like maybe 30 new cars at some of them. I saw 10K mark ups on most of them.
My wife and I bought a Mazda CX-5 signature earlier this year for 3K off sticker and I wanted more and they told me to go pound sand, now I feel like I stole it. It only has 1500 miles six months later. I bet I could sell it for more than I paid. My wife loves the car so it is here to stay. She kept her last car 13 years. I would expect the same.
My wife and I bought a Mazda CX-5 signature earlier this year for 3K off sticker and I wanted more and they told me to go pound sand, now I feel like I stole it. It only has 1500 miles six months later. I bet I could sell it for more than I paid. My wife loves the car so it is here to stay. She kept her last car 13 years. I would expect the same.
Lexus Champion
Joined: Apr 2007
Posts: 10,988
Likes: 81
From: Southeastern PA
They'll regret their "sticker plus" attitude when supply/demand normalizes and many of their customers or potential customers will remember that and take their business elsewhere. I remember when Prius first came out and I was buying one for my wife. Dealers we're selling for a thousand or more over MSRP. Our40 year local Toyota dealership would not do any such thing. Full MSRP---yes. But no add-on money. That's a much smarter way to do business in the long run.
Last thing in the world GM dealers is to lose good will. They have plenty challenges as it is.
Last thing in the world GM dealers is to lose good will. They have plenty challenges as it is.
Lead Lap
Joined: Apr 2002
Posts: 4,892
Likes: 14
From: Virginia
Depends on the make/model, but slapping it on everything doesn't really make sense as even in today's market, not everything has the demand to command such an adjustment. Just saying that a dealer that is putting blanket addendums on every vehicle on their lot is trying to see who bites on it, but can be willing to remove it for an individual customer who seems willing to pay MSRP, is going to walk away etc.
Moderator
Joined: May 2012
Posts: 1,263
Likes: 15
From: Florida
Yeah, used vehicle prices are way, way inflated. For instance, the Land Rover dealer my friend bought her 2019 (2019) Range Rover Sport from offered her on trade exactly what she paid for it, new in 2019. Whether she bought a new one or not. No joke.
There's no free lunch here. Its like buying real estate in 2021, there are no deals short of finding someone with a car that has no idea what they have and stealing it from them. There is a legitimate vehicle shortage, both new and used...and that makes it very difficult for a buyer
There's no free lunch here. Its like buying real estate in 2021, there are no deals short of finding someone with a car that has no idea what they have and stealing it from them. There is a legitimate vehicle shortage, both new and used...and that makes it very difficult for a buyer
Fortunately it was a spare vehicle for us so I didn’t need to replace it. We still have our lovely 2015 RV450h, a 2020 Nissan Leaf EV and a 2020 F350 that is used as a tow vehicle for our 5th wheel RV.
Thread Starter
Lexus Fanatic
Joined: Oct 2003
Posts: 94,208
Likes: 220
From: Virginia/D.C. suburbs
Lexus Fanatic
Joined: Nov 2011
Posts: 35,276
Likes: 305
From: ON/NY
They'll regret their "sticker plus" attitude when supply/demand normalizes and many of their customers or potential customers will remember that and take their business elsewhere. I remember when Prius first came out and I was buying one for my wife. Dealers we're selling for a thousand or more over MSRP. Our40 year local Toyota dealership would not do any such thing. Full MSRP---yes. But no add-on money. That's a much smarter way to do business in the long run.
Last thing in the world GM dealers is to lose good will. They have plenty challenges as it is.
Last thing in the world GM dealers is to lose good will. They have plenty challenges as it is.
Intermediate
Joined: Apr 2010
Posts: 326
Likes: 36
From: TX
First off, no one NEEDS a New car. You can always get a used car repair an old one, or take public transportation and get your own battery operated "last mile" personal vehicle. Seems like the dealership is playing capitalism to the full extent. More power to them. As such when the market normalizes, reputation will play a large part. And if I felt that a dealership was taking advantage of my needs and wants, of course, they won't see my face again or the faces of those that will sympathize with my story. 
Or maybe next time, I'll take advantage of the dealership in their desperation.
Or maybe next time, I'll take advantage of the dealership in their desperation.